CALGARY- $52 million is going back to Calgary taxpayers, and the decision means homeowners shouldn’t see a tax increase next year.
The city was presented with an unexpected $52 million earlier this year, due to unused provincial property taxes that were returned by the province. While there had been discussions about using the money to pay for flood repairs, city council instead decided to give it back to Calgarians.
The decision means an initial 6.1 per cent tax hike has been cut to nearly zero.
There is a catch though: the rebate is a one-time-only deal.
From 2015 until 2025, the money will be set aside for a transit fund to help pay for the north, central and southeast transit way. The city will also have to find another way to pay for flood repairs.
“When you see your property tax bill you will see what your property tax is, but then there will be a little subtraction,” explains Mayor Naheed Nenshi. “But next year you’ll start at the level without the rebate.”
Some councillors were disappointed the $52 million wouldn’t be returned to taxpayers permanently, but others say the transit fund is a good compromise.
They also voted to cap management exempt pay increases to 1.8 per cent next year, as well as for a salary freeze for everyone on city council.
Comments